Council tax UK: Where residents face paying the highest proportion of council tax

The amount a person has to pay in council tax depends on the valuation band for one's home, as well as how much the local council charges for that band. Additionally, some may qualify for a discount or exemption from the full bill.

How much a person pays could be vastly different to another, and a study into the average rates according to areas of Great Britain has highlighted this.

Analysis by specialist mortgage platform Haysto looked into which areas of Great Britain face the highest council tax rates in proportion to their annual income.

Westminster has topped the chart, boasting an impressive Council Tax percentage rate of 1.4 percent.

This is thanks to the borough's huge average annual salary being well clear of £60,000.

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London boroughs dominate the top ten, Haysto found.

In these ten boroughs identified, which include Wandsworth, Hammersmith and Fulham and Southwark, annual salaries average well over £40,000, meaning the top ten will generally never spend more than three percent of their salary on council tax.

This is despite the average house price in London reaching almost £680,000.

At the other end of the scale though, it’s a different picture.

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The percentage council tax rate in proportion to annual income more than triples.

Ranking at 355 out of 355, Richmondshire was found to be where residents pay the highest proportion of council tax across Great Britain.

On average, its citizens hand over nearly eight percent of their income to Council Tax on average, in addition to the already-rising cost of living.

Here, the average council tax per dwelling is £1,864, and the average annual pay is £23,750.

Paul Coss, Specialist Mortgage Broker and Co-Founder of Haysto commented: “What’s shocking here is the disparity in council tax percentages paid out by people across the country.

"With people paying nearly 10 percent of their annual salary, on top of existing bills and a rising cost of living, it’s something that needs to be addressed.

“Many campaigners are pushing for the current Council Tax to be overhauled as it is deemed outdated for using house prices from over 30 years ago.

"Instead, it should be based on today’s property values and homeowners’ ability to pay - especially amid such a crushing economic downturn."

Council tax UK: Where residents face paying the highest proportion of council tax Council tax UK: Where residents face paying the highest proportion of council tax Reviewed by Finance News on 17:35 Rating: 5

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